7-Step Guide to Destin, Florida, Short-Term Rental Regulations
1. City Overview: Short-Term Rental Landscape
Destin, Florida, is a sought-after vacation destination known for its white-sand beaches and clear waters. With tourism being a significant part of the local economy, short-term rentals (STRs) are popular. However, Destin has implemented detailed regulations to balance the interests of residents, property owners, and visitors. Compliance with these rules is essential for anyone looking to operate an STR in the city.
For the most up-to-date short-term rental data, including occupancy rates, average daily rates, and revenue trends, visit Chalet Intel Destin.
2. Quick Facts
- Chalet Destin Investor Potential & Regulation Score:
6.7/10, moderately favorable environment for STR operators - Permit Required? Yes
- Zoning Restrictions? Yes
- Maximum Occupancy: 2 adults per bedroom plus an additional 4 persons per property, with a total maximum occupancy of 24 persons per property
- Tax Requirements: Yes (6% + 5%)
- Renewal Frequency: Annually
- Insurance Required? Not specified by city regulations; however, obtaining insurance is advisable
- Enforcement Level: Active, with specific fines and penalties for non-compliance
3. Getting Started with STRs in Destin (Step-by-Step Guide)
Step 1: Verify Zoning Eligibility
Short-term rentals are only allowed in specific zoning districts within Destin. Before proceeding, confirm that your property is located in one of the permitted zones, which include:
- Bay Resort Mixed Use (BRMU)
- Crystal Beach Resort (CBR)
- Calhoun Mixed Use (CMU)
- Gulf Resort Mixed Use (GRMU)
- Holiday Isle Mixed Use (HIMU)
- North Harbor Mixed Use (NHMU)
- Residential, Office, Institutional Tourist Development (ROI-TD)
- South Harbor Mixed Use (SHMU)
- Crystal Beach Neighborhood (CBN) (Multi-family units require a Conditional Use permit)
- Low Density Residential–Holiday Isle (LDR-HI)
- Medium Density Residential–Holiday Isle (MDR-HI)
- High Density Residential (HDR)
To determine your property’s zoning designation, contact the City of Destin’s Planning Division.
Step 2: Determine the Need for a Change of Use
Operating an STR is considered a commercial activity. Therefore, residential properties must undergo a “Change of Use” process to ensure compliance with zoning and building codes. To verify whether your property has completed this process or if one is required, contact the City’s Planning Division.
If a Change of Use is necessary, submit an application through the COMPASS online portal. The application fee is $2,000. Once submitted, the property will be subject to inspections by the Planning, Engineering, and Building departments.
Step 3: Gather Required Documentation
Before registering your STR, ensure you have the following documents:
- City of Destin Business Tax Receipt: Apply through the COMPASS portal. For assistance, contact the Building Division at (850) 837-4242.
- Florida Vacation Rental Dwelling License: Obtain this from the Florida Department of Business and Professional Regulation (DBPR). Start the process through the official DBPR website.
- Florida Department of Revenue Resale Certificate: Register with the Florida Department of Revenue to collect and report applicable taxes.
- Notarized Affidavit of Bedrooms and Parking: This document verifies the number of bedrooms and available parking spaces. A template is available on the City of Destin’s website.
